Honda India : The Way Forward

This is a discussion on Honda India : The Way Forward within The Indian Car Scene, part of the BHP India category; Originally Posted by smartcat
I hope I don't have to eat the my own words - but PIMS is already ...

I hope I don't have to eat the my own words - but PIMS is already underway, and its unlikely Honda will pop something out of the hat in last 2 days of the event.

Me too, my friend.

The PIMS isn't over yet so there's still a bit of hope. Plus, the BR-V isn't new to the ASEAN region, since it was unveiled and launched in Indonesia last year.

Since news reports keep repeating that this is an all-new mini compact SUV developed by Honda Thailand's R&D, I am hopeful that we shall see a new product, something on the lines of the Mahindra TUV300 (short length 7 seater).

Quote:

Originally Posted by vb-san

Isn’t the Vezel and HR-V the same? Here in Singapore the Thailand made HR-V is sold via authorized dealer, and parallel importers get the Japan made Vezel – and the latter is selling in big numbers.

Indeed. The Japanese/imported version is the Vezel, while the US/Thai/Brazilian version is called the HR-V (Hi-rider Revolutionary Vehicle).

Quote:

Originally Posted by vb-san

But really, why should Honda look to bring something smaller than the BR-V and pack 7 seats into that? IMO, they should really try and bring in the HR-V and Civic and stop trying luck with the super low cost models.

For one, the market is still swayed by compact/sub-compact cars. Secondly, if they can squeeze enough space inside a compact car and carve 7 seats out of it, it could be a game-changer in the segment. The Jazz is perhaps the best example of this, with enough space inside the cabin to seat 7.

Ideally, this should be the WR-V (Jazz-based crossover). But then, this could be an all-new project too.

Or it could finally turn out to be the BR-V, which was launched on Day 1 of the PIMS yesterday.

Isn’t the Vezel and HR-V the same? Here in Singapore the Thailand made HR-V is sold via authorized dealer, and parallel importers get the Japan made Vezel – and the latter is selling in big numbers.

If I am not wrong, HR-V and Vezel are one and the same car - named differently for different markets. Just like Fit and Jazz or Grace and City.

Just curious why the parallel imported Vezel sells in big numbers compared to the HR-V sold via authorized dealers. I would assume the parallel imports to be more expensive and hence the question gets stronger. Is it because of the difference in perceived / actual quality? Is there some drastic differences in features or engines offered? Sorry, if this is But I guess this will give an insight on what India will get - which I am pretty sure will be closer to the HR-V made in Thailand than the Vezel in Japan.

Honda unveiled a new 7 seater compact SUV at PIMS allright. It looks like this

Looks like you might be right, smartcat. The BR-V is the only compact 7 seater unveiled by Honda at PIMS 2016.

The other sub-compact Honda crossover revealed at the PIMS 2016 is the HR-V Mugen Prototype (link). It is a regular 5-seater and I don't think Honda will be bringing it to India anytime soon, much less convert it into a 7-seater and slot it below the BR-V.

Honda showcases the new look of the sub-compact SUV, the New HR-V MUGEN Prototype. The Prototype now comes with a New MUGEN Front Grille, New 17-inch Alloy Wheels, New MUGEN Side Stripe Sticker, and a Modified Tailgate Spoiler, while retaining the current HR-V MUGEN’s Front Under Spoiler, Side Under Spoiler, Rear Under Spoiler, and MUGEN Emblem. All new features provide a sportier outlook which will make HR-V much appreciated by its customers.

Just curious why the parallel imported Vezel sells in big numbers compared to the HR-V sold via authorized dealers. I would assume the parallel imports to be more expensive and hence the question gets stronger. Is it because of the difference in perceived / actual quality? Is there some drastic differences in features or engines offered? Sorry, if this is But I guess this will give an insight on what India will get - which I am pretty sure will be closer to the HR-V made in Thailand than the Vezel in Japan.

OT: I believe it was mainly due to the perceived quality difference between Made in Japan v/s Thailand. And secondly, the HR-V was quite basic in its specifications (e.g.; just 2 airbags) whereas the Vezel came fully loaded. They have corrected/upgraded the specs (of the HR-V) since then, but still I see mostly the Vezel on road here.

Recognising the changing preferences and shift in demand in the Indian market, Honda Cars India Limited is now gearing up to launch SUVs and bigger sedans in the near future.

Honda Cars India President and CEO, Mr Yoichiro Ueno:

Quote:

"The market is changing. We are seeing a big shift from A, B categories to upper segment and that's why Maruti and Hyundai are also trying to move to the premium side. So, we are also carefully monitoring this segment movement.

Besides, there is growth in the SUV segment so that's also a big change.

There is a lot of demand to upgrade from City to bigger cars and unfortunately, we don't have a bigger car... Especially the dealers are requesting. They don't want to lose these City customers to other brands.

We are receiving a lot of request to reinforce the SUV market, we have CR-V but practically City is the flagship model.

At the moment, our strategy is to bring global models rather than exclusively develop for any specific market."

Quote:

Asked if the company plans to launch a new SUV model soon, Ueno said: "You can expect, yes," he said.

When asked if the model could be HR-V, he said: "It really depends on customers' voice. If there is a lot of demand or request, then we might look at it."

Stressing on the need to be nimble-footed and deliver products which customers want in a fast changing market, Ueno said: "We think it is very important to catch up."

Mr. Yoichiro Ueno are you living under a Rock ? We at Team BHP have been shouting since the last few years for the Vezel / HRV to be brought to India. What else do you want us to do ? Stage a Rail Rockoo ? Haha !!

These Honda guys have ruined the brand by removing their flagships like the Accord and Civic and now reintroducing the Accord at an insane price tag. They are becoming slow like Toyota India.

So the poor guys gave us all that "stuff" along with a 5-star safey rating but lost that "premiumness" in the bargain . It did great for their sales though. Now if we look at it from their perspective, it's a very fine line which toggles between Honda and Buyer perspective of a good "premium" car. Which way should they go?

Even their flagship CRV wasn't spared. I had the 2008 CRV and then I decided to swap it for a new one about 18 months ago. Despite me paying about INR 9 Lakh more, I felt the car's interior, plastic quality felt cheap and poorer than the old car and it was clearly a downgrade from that perspective!

Honda in 2013 was probably scared of pricing too close to the Audi Q3, and built the product to a price and look what the Germans have done. They have moved miles away from 30 Lakh price point to about 40 lakh, leaving Honda striped and naked!

In comparison, the CRV's interior quality in the American market felt leagues above, questioning the need to buy an X1 or a Q3!

Honda failed to capitalise on its strength and has gotten the stock for dumping mediocre products here.

Remember the old saying, don't fix what ain't broke.

Last edited by manson : 28th October 2016 at 19:21.
Reason: Mod Note : Please quote ONLY the relevant bits of a post. Quoting a full, long post inconveniences our mobile readers.

Honda have started to face the heat. Declining Sales is surely Hurting them

Quote:

Yoichiro Ueno, president and CEO of Honda Cars India, said that it was not about the quality, but that the company failed to understand customer requirements. “Those cars are doing really good in Thailand and Indonesia …. It was not meeting the customers’ requirements in India,” he said.

Quote:

The company is also receiving a lot of queries on the Civic, and the compact SUV HR-V. Honda has already lined up new vehicles for the next two to three years, but none of cars based on the Brio platform are up for a full-body change.

Honda is also planning Hybrid Versions of City & Jazz

Quote:

“Maybe we will have a hybrid City and a hybrid Jazz, but all of that depends on the affordability and acceptance of the technology,” said Uneo.

So, What Honda needs to do to Improve their Image & Sales, Its very Simple

BR-V already looks like a flop. Honda fails to understand that they need a HR-V to compete against the Creta. The New Accord Pricing shows that they smoking the stuff Toyota is smoking since a decade. Surprised that Neither Honda or Toyota are seriously looking at a making a competitor to Creta.

Indeed. It's a classic case of a great idea that was executed poorly
Sad to see it fizzle out so early!

However, the BR-V could still be salvaged, provided HONDA does the following:

Step -1
Do with the BR-V, what Maruti did with the S-Cross. That means, a substantial price reduction of minimum 10% on the entry models going up to 15% on the top end models. And I mean an 'Official Price Reduction', not some festive offers or dealer discounts.

Step - 2
Introduce new VX(O) variants with the following features inbuilt -

Clearly, despite the BR-V being an all-round leap over the Mobilio (in terms of styling, interiors, GC etc.), it has not fared as well as the Mobilio in the initial months of release.

Perhaps it was Honda's optimism about the Mobilio that led them to push many more units to their dealers in the initial months, which they have rectified as far as the BR-V is concerned (i.e. by dispatching units to dealers only according to market demand)?

Should Honda have taken a leaf out of Tata's book and just replaced the Mobilio with the BR-V?

Of the two, I think it's the Mobilio which needs more corrective treatment. I guess it would be better to discontinue this model entirely, or sell a lower variant only (in both diesel & petrol+CNG) as a "taxi special". The new Innova has moved up the price ladder, and this leaves a large vacuum for the likes of Ertiga, Lodgy, Mobilio, Enjoy, Tavera & Xylo to fill up (Evalia & its twin Stile have been discontinued).

As for the BR-V, Honda can add more value (i.e. equipment) to all variants or cleverly rejig the variant line-up to make it more attractive. Price cuts and discounts are not the only way to revive sales.

Honda needs to put Thinking Cap, thier cars despite being good aren't setting sales charts on fire, something which thier early cars (City/Civic/Accord/CRV) did so easily. Those cars were well priced & were Premium. This same formula has been adopted by Hyundai & the sales figures prove that.

But the World has changed, now consumers want features in thier cars even if costs more. Unfortunately, Barring City, all of thier cars are poorly equipped compared to segment & trend. If they correct this, I can see thier sales rising.

As a product, thier cars are Well Engineered. I have certainly felt that after having seen & experienced many cars in our Garage.

Honda I hope you are reading this, take this as a request/suggestion from a Car Enthusiast & an Owner